BIG POTENTIAL SEEN

Press, Volume CVI, Issue 31113, 16 July 1966, Page 10

BIG POTENTIAL SEEN

J7WE equivalents wintered on farms of members of the Cheviot Farm Improvement Club increased by 12.4 per cent between last year and this year, according to the annual report of the club’s adviser, Mr A. I. Bilbrough, who is a field officer in the farm management department at Lincoln College. At the same time ewes going to the ram in the two years went up by 12.8 per cent. Mr Bilbrough said that it was obvious that members were responding to (1) economic pressures; (2) Government exhortations; and (3) a good season, to increase their carrying capacities substantially. Members of the club, he said, should not be confused with the requested 4 per cent increase in production to maintain living standards—this was physical production from the farmer in the form of pounds weight of wool, lamb, mutton and beef—and an increase in costs of 2.7 per cent. This did not mean that members must increase their production by 6.7 per cent to keep ahead of costs. For a farmer to keep ahead of rising costs he must produce at least 2.7 per cent more in cash income a year. Mr Bilbrough said that semi store sheep farmers had increased their ewe equivalents carried by 14.3 per cent but they were still carrying only 1.8 ewe equivalents to

the acre. “This highlights I the tremendous potential that exists throughout the club area, as the situation is similar for other farm classes — especially the store sheep country,” he commented. The range of carrying capacities on individual farms was from 0.9 to 1.5 ewe equivalents an acre on store sheep farms, 1.1 to 3.2 on semi store etc. properties, 2.3 to 4.5 ewe equivalents on fattening farms and 2.9 to 4.0 on mixed cropping properties (effective area). Production on these properties in the case of wool per acre ranged from 61b to 71b an acre for store sheep properties, 7lb to 231 b for semi-store etc., 18 lb to 531 b for fattening farms and from 241 b to 401 b for mixed cropping. But with present technology they should be able to carry three ewe equivalents to the acre and produce 251 b of wool an acre on store sheep properties, carry five ewe equivalents and produce 401 b of wool on the semi-store areas, run from five to six ewe equivalents and produce 601 b of wool on the fattening farms, and carry six ewe equivalents and turn off 551 b of wool on the mixed cropping farms. Although credit restriction was being felt by the farming community, members generally had increased their carrying capacity without making their indebtedness to stock firms or banks any greater, and some, due to the excellent prices received for sale stock, had reduced their indebtedness.

With the present economic situation and the possibility that the credit squeeze might continue for some time, Mr Bilbrough said that members were urged to reduce short term liabilities as quickly as possible to strengthen their cash positions. “Members should be aware that owing to increased production of lambs, wool etc.,

secondary services could be taxed and delays may occur in the selling of such items. For a person heavily committed delays in receiving revenue may be disastrous. Some members hive to cultivate a better financial sense and watch their monthly balances with the firms so their income is not credited in only two months of the year.”

To make members more aware of the amount of cash they handled during a farming year visits had been made to most members’ accountants to have several alterations made to their accounts. These included the addition of cash flow statements, the grouping together of annual expenses which made up standing charges (interest, rent, rates, land tax and insurances), the separation of stock accounts and the inclusion of full depreciation tables. These additions and alterations should enable members to understand their annual accounts more easily. On the stock management side, Mr Bilbrough said that most members were weaning their lambs earlier than they had been used to and apart from one these earlier weanings had been successful. Members running cattle were improving their herd management by vaccination of replacement heifers against contagious abortion, spraying against lice, drenching and pregnancy testing. With the amount of money tied up in a beef herd it was important that it be managed as efficiently as possible, he said. Some members had tried drenching trials on hoggets and in one case on ewes before lambing. This was to see what the effect of drenching or the lack of it had on the lambs. The result was statistically insignificant. Some members had begun to keep grazing records for various paddocks or blocks on their farms and in most cases they had been amazed at the results.

During last spring small fertiliser trials had been laid down over a broad sample of members’ farms. In general the best response had come from a combination of sulphur, phosphate and lime. From 24 at the end of June last year, Mr Bilbrough said that club membership had climbed to 38, whose properties covered 55,440 acres.